REGINA - The new U.S. ambassador to Canada says Alberta's oilsands needs to strike a balance between meeting energy needs and protecting the environment.

David Jacobson, who was sworn in two weeks ago, got a first-hand look at the oilsands this week as part of his effort to focus on four priorities: trade, energy, the environment and foreign policy.

"I think it's very important to acknowledge that Canada is and will continue to be a pillar in the energy security of the United States and the oilsands are probably going to be a part of that," Jacobson told reporters Friday after he arrived in Regina. Jacobson had a chance to hear about the oilsands technology during stops at both Suncor Energy and Syncrude Canada's operations near Fort McMurray.

The tour was organized by the Oil Sands Developers Group on behalf of the Alberta government.

"What we did was took an aerial tour of the region, flew over all the mining operations for the region," said group president Don Thompson.

"We showed him an in-situ operation and an open-pit mine ... we wanted to make sure he understood the true nature of the industry."

Jacobson said the facilities are "impressive," but he was also cautious in his opinion.

"The other part, and quite frankly the bigger part of the conversation that we had, was talking about the environmental issues that were presented," he said.

"What I stressed...is that there's an appropriate balance to be struck here. There are parallel issues of energy security and the environment."

Jacobson will provide a detailed report to officials in Washington where there has been mixed reaction to the oilsands.

It is well known that Canada is the No. 1 exporter of oil to the United States, the bulk of which comes from northern Alberta's vast oilsands.

But some U.S. policy-makers and lawmakers have considered Alberta's oilsands "dirty oil" because of the industry's heavy use of water and high emissions of greenhouse gases and other pollutants.

Environmental groups have also argued that the oilsands are the most environmentally damaging energy project on Earth.

U.S. President Barack Obama said during his campaign last year that he wanted to reduce U.S. dependence on "dirty oil" - a comment that was seen as a threat to oil exports from the oilsands.

Obama and Prime Minister Stephen Harper have since agreed to work together to reduce greenhouse gases and protect the environment.

Obama has touted the use of carbon capture and storage, a pricey technology which prevents carbon dioxide emissions from entering the atmosphere by piping them underground for storage in depleted oil reservoirs or natural caverns.

Jacobson met with Saskatchewan Premier Brad Wall Friday and the two discussed carbon capture and storage, in particular an agreement that the province has signed with the state of Montana.

Saskatchewan and Montana have joined forces on a proposed $270 million project that would see carbon dioxide emitted from a coal-fired power plant in southern Saskatchewan piped to Montana where it would be stored underground.

Jacobson was also scheduled to tour a facility in Weyburn, Sask., where carbon dioxide is being pumped underground to help enhance oil recovery.

"The carbon capture and storage technology, if it is commercially viable, if it can be used in a variety of applications, is something that will help not only Canada but the United States and China and India and a number of countries around the world to address the climate change problem," he said.

"It's a technology that holds great promise," said Jacobson.

"There's still a lot of work to be done, but I'm particularly excited to spend some of my time here going out and actually visiting and seeing the facility and seeing how it works."

-with files from Fort McMurray Today

A service of YellowBrix, Inc.